Overview

Amazon's Inventory Performance Dashboard is a centralized tool within Seller Central that helps FBA sellers monitor and optimize their inventory management. It provides visibility into key metrics that affect storage costs, sales velocity, and overall operational efficiency. The dashboard is anchored by the Inventory Performance Index (IPI), a score that Amazon uses to evaluate how well sellers manage their FBA inventory.

Key Points / What Sellers Need to Know

• Inventory Performance Index (IPI) — This is a numerical score, typically ranging from 0 to 1,000, that reflects how efficiently you manage your FBA inventory. A higher score indicates better inventory health and can unlock greater storage capacity.

• Storage Limit Implications — Sellers whose IPI score falls below Amazon's threshold may face storage volume limitations, restricting the amount of inventory they can send to fulfillment centers. Meeting or exceeding the threshold helps ensure you have adequate storage space.

• Four Core Metrics — The IPI is influenced by four primary factors: excess inventory percentage, sell-through rate, stranded inventory percentage, and in-stock rate for popular items. Each of these areas can be monitored and improved through the dashboard.

• Checked Quarterly — Amazon evaluates IPI scores at regular intervals, typically at the end of each quarter, to set storage limits for the following period. Sellers should monitor their score well in advance of these checkpoints.

• Actionable Recommendations — The dashboard doesn't just display metrics; it provides specific, data-driven suggestions for improving inventory health, such as creating removal orders for excess stock or fixing stranded listings.

How the IPI Score Works

The Inventory Performance Index considers multiple dimensions of inventory management to produce a single composite score. Sell-through rate measures how quickly your inventory moves relative to how much you keep on hand, rewarding sellers who maintain lean, fast-moving stock. Excess inventory tracks units that have been in fulfillment centers longer than expected based on demand forecasts, and carrying too much slow-moving inventory drags your score down. Stranded inventory refers to units in FBA warehouses that have no active listing, meaning they cannot be sold — these represent wasted storage fees with zero revenue potential. Finally, the in-stock rate for your replenishable, popular ASINs measures whether you're keeping your best sellers available, since running out of stock on high-demand items costs you both sales and organic ranking.